Twersky Law Group, a highly regarded and reputable law firm based in New York, wishes to inform investors about a significant development in the form of a class action lawsuit against Atlas Lithium Corporation Inc. (“Atlas” or “the Company) (NASDAQ: ATLX) and certain officers of the company. This lawsuit has been filed on behalf of all individuals and entities that purchased or otherwise acquired Atlas Lithium stock from March 25, 2022, through May 3, 2023 (the “Class Period”). Investors who acquired Atlas securities during this defined timeframe are strongly encouraged to participate in this case by contacting atara@twerskylawgroup.com. The deadline to file a motion for appointment of lead plaintiff is August 1, 2023.
The fundamental objective of this class action lawsuit is to recover for the benefit of investors who purchased Atlas securities during the Class Period, the losses they sustained as a consequence of the misleading statements made by Defendants in violation of the federal securities laws.
ALLEGATIONS
This Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company overstated the success of its lithium mining and misrepresented the nature of its Brazilian mineral rights; (ii) in connection with these misrepresentations, Atlas conducted deceptive promotions to artificially inflate the value of the Company’s stock; (iii) the foregoing conduct was designed to allow CEO Fogassa and other Company insiders to sell shares back into the market for a profit before the true nature of the Atlas business was revealed; and (iv) as a result, Defendants’ public statements were materially false and/or misleading at all relevant times.
On May 4, 2023, Bleecker Street Research (“Bleecker Street”) published a report entitled “Atlas Lithium (ATLX): First Comes The Pump Now Here Comes the Dump” (the “Bleecker Street Report”). The Bleecker Street Report described Atlas as a “pretender” and stated that “it resembles many of the characteristics of a pump and dump.” The report alleged that Atlas “predecessor company did a similar promotion before bagging retail investors;” that the CEO of Atlas “was previously associated with Hunter Wise Securities, a broker fined $105 million for claiming to sell physical gold that it didn’t have;” and that “[EF Hutton, a] similarly disastrous bank[,] handled ATLX’s most recent offering and uplisting in early January.” As a result of this news, Atlas stock price fell $12.95 per share, or 43.34%, to close at $16.93 per share on the date of May 4, 2023.
HISTORY OF ATLAS LITHIUM CORPORATION
Atlas Lithium Corporation, formerly known as Brazil Minerals, Inc., is a mineral exploration and mining company primarily operating in Brazil. The company focuses on various projects and mineral rights across different regions in the country. One of the key projects undertaken by Atlas Lithium Corporation is the Minas Gerais Lithium Project. This project encompasses a substantial area of 58,774 acres in northeastern Minas Gerais, Brazil. The project consists of 57 mineral rights, and it is primarily focused on lithium exploration and mining.
In addition to the Minas Gerais Lithium Project, Atlas Lithium Corporation also operates the Northeastern Brazil Lithium Project. This project spans an area of 16,266 acres and comprises seven mineral rights located in the States of Paraíba and Rio Grande do Norte in northeastern Brazil. Similar to the Minas Gerais project, the Northeastern Brazil Lithium Project is aimed at lithium exploration and mining. Moreover, Atlas Lithium Corporation holds 100% interests in several mining concessions for gold, diamond, and industrial sand. These concessions provide the company with opportunities to explore and extract these valuable resources. Furthermore, the company has invested in early-stage projects and properties related to other minerals, including nickel, rare earths, graphite, and titanium. Additionally, Atlas Lithium Corporation actively participates in iron and quartzite projects, further diversifying its mineral portfolio. With its headquarters located in Belo Horizonte, Brazil, Atlas Lithium Corporation is strategically positioned to leverage Brazil’s rich mineral resources. The company underwent a name change from Brazil Minerals, Inc. to Atlas Lithium Corporation in October 2022, reflecting its increased focus on lithium exploration and mining in the region.
JOIN THIS CASE
It is crucial to note that a class action lawsuit has already been filed in connection with these allegations. Therefore, for those individuals who suffered financial losses in their investments in Atlas during the Class Period, there is a limited opportunity to seek appointment as a lead plaintiff. This process entails requesting the Court to designate them as the primary representative on behalf of the entire class. The deadline for submitting such a request is August 1, 2023. It is important to emphasize that while becoming a lead plaintiff can offer certain advantages, participation in the recovery process and the potential for financial compensation does not mandate serving as a lead plaintiff.
Twersky Law Group, a distinguished legal firm renowned for its expertise in handling securities fraud class actions and shareholder derivative suits, has a long-standing track record of successfully recovering significant sums of money for investors nationwide. With an unwavering commitment to seeking justice for their clients, the firm’s attorneys are resolute in pursuing fair compensation on behalf of those affected by alleged securities law violations. As with any legal matter, it is essential to understand that this announcement constitutes attorney advertising. Past case outcomes and results achieved do not guarantee similar outcomes in this particular case.
Investors who believe they may qualify as potential class members in the class action lawsuit against Atlas Lithium Corporation are strongly encouraged to reach out directly to the firm for further information and assistance. The knowledgeable legal professionals at Twersky Law Group stand ready to provide guidance and support to investors seeking to protect their rights and pursue the recovery they deserve.
ABOUT US
For more information as well as to join this case please contact Atara Twersky, Esq. at atara@twerskylawgroup.com. Atara is Principal at Twersky Law Group and of counsel at AF&T Law Firm where she is director of Investor Services. Atara focuses her practice on assisting her clients with increasing their investment portfolio recoveries and ensuring that their portfolios remain healthy and robust. For more information on shareholder recoveries, listen to Atara ’s Pension and Investments Podcast with notable guests in the pension fund Industry that discusses various matters relating to investment portfolios. For more information on Atara and her legal work pertaining to shareholder protection click here.